NAN-HE-14
Economy
By Lucy Nwachukwu
Abuja, Feb.16, 2017 (NAN) Mr Godbless Safugha, the Executive Secretary, Association of Non-Bank Microfinance Institutions (ANMFIN) has advocated support for the rural entrepreneur to get the country out of recession.
Safugha made the suggestion in an interview with the News Agency of Nigeria (NAN) on Thursday in Abuja.
He said that ANMFIN was supporting small business owners in the country to make them grow their businesses and in turn contribute to the nation’s GDP.
“The sure way out of recession is through conscious and deliberate support to stimulate the rural economy.
“ I see this period as an era of opportunity for the serious-minded micro finance institutions (MFIs).
“On our part, we are providing capacity building to better equip the MFIs on how to navigate through the recession period.
“ We are also linking qualified MFIs to the CBN’s MSMEDF, BOI’s GEEP and other development funds.
“Our effort has yielded result, especially on the CBN’s MSMEDF, where our MFIs are actively participating,’’ he said
Safugha also said that ANMFIN was engaging its members in various trainings, adding that one of which was on rural business plan.
“ This enables MFIs to focus on lending to the rural people, thereby creating jobs and increasing productivity, especially for the farmers.
“The association is also working with CBN on the Anchor Borrowers Programme and the Rural Finance Institutions Building Programme (RUFIN) to achieve food security in Nigeria.
Safugha that said the association was collaborating stakeholders within and outside the sector to support and protect its members.
On collaboration with NICON, Safugha said it was intended to provide insurance cover to its members.
“As the business environment evolves, the risk associated in providing credit and engaging in micro business is increasing.
“ ANMFIN sees a need to mitigate against some of the risk associated to lending that MFIs are exposed to.
“ The partnership with NICON Insurance is to provide an insurance cover to the rural borrowers against death, business failure, sickness, catastrophe, disability, and accident among others.
“The insurance will cover the total amount of indebtedness of the MFIs client for the duration of the loan.
“The implication is that if the MFI member fails to pay his or her loan as a result of the above listed outcomes, NICON insurance will indemnify the MFI with the total exposure.(NAN)
LCN/JEY/MO
=========Edited by Johnson Eyiangho/Morayo Omolade